Which of the Following Affect the Value of a PO

question 92

Multiple Choice

Which of the following affect the value of a PO strip based on a GNMA bond?
I. changes in the PSA schedule
II. prepayment rates
III. time value of money
IV. changes in the default rates for the underlying mortgages

• A)I and II only
• B)II and III only
• C)I, II, and III only
• D)I, II, and IV only
• E)I, II, III, and IV

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Definitions:

REM Sleep

A sleep stage characterized by rapid eye movements, vivid dreams, and increased brain activity, playing a key role in memory and learning.

Beta Waves

Brainwave patterns associated with active, alert cognition and wakefulness.

Total Sleep Time

The total amount of actual sleep time in a given sleep session, excluding all periods of wakefulness.

Slow-Wave

Referring to the low-frequency, high-amplitude brainwaves that are dominant during the deepest stages of sleep, playing a critical role in restorative sleep processes.